Bharti-AXA to launch mutual fund
In its drive to diversify into financial services, Sunil Mittal-promoted Bharti Group is all set to enter the over Rs 3.5 lakh crore Mutual Fund industry in association with French company AXA and announced an investment of up to Rs 1,500 crore.
"We have already agreed upon entering into Mutual Fund and General Insurance businesses in partnership with AXA, while the launch of Real Estate Fund is being examined," Group Chairman and Managing Director Sunil Mittal said.
Mittal, however, said that there was no plan to get into banking services. "As AXA will be our partner in all financial services endeavours and they are not into banking," Mittal said, adding that Life Insurance services have already been launched, General Insurance has been agreed upon and an agreement for Mutual Fund has actually been signed.
Asked whether investment would be stepped up, Mittal said: "we need investments mainly in the Life Insurance business and for that combined investment of about Rs 1,000 crore was committed with AXA at 26 per cent and remaining with us."
For all financial services put together, the investments have been pegged at about Rs 1,500 crore.
There are about 32 Mutual Funds with total Assets Under Management of about Rs 3.54 lakh crore in February, according to Association of Mutual Funds of India. ICICI Prudential, Reliance MF and UTI MF are the three top companies in terms of Assets Under Management.